The defeat, which came despite Volkswagen’s neutrality, tarnishes UAW President Bob King’s legacy and could make it next to impossible for the union to extend its reach beyond domestic automakers.

“While we certainly would have liked a victory for workers here, we deeply respect the Volkswagen Global Group Works Council, Volkswagen management and (German union) IG Metall for doing their best to create a free and open atmosphere for workers to exercise their basic human right to form a union,” King said in a statement.

“They have spoken, and Volkswagen will respect the decision of the majority,” said Fischer in a statement.

Of about 1,500 Volkswagen workers eligible to vote, 89% cast ballots between Wednesday and Friday night.

“We think it was unfortunate that there was outside influence,” said Gary Casteel, UAW regional director who led the unsuccessful campaign. “I want to urge the VW employees to go back to the business of building cars. There are some issues to be sorted out.”

Workers told the Free Press they were puzzled by the intensity of media attention and bitter political volleying surrounding the vote.

Even President Barack Obama weighed in Friday, taking aim at Tennessee Republican leaders, including U.S. Sen. Bob Corker and Gov. Bill Haslam, who he said “are more concerned about German shareholders than American workers.”

But the result was a victory for Corker and Haslam, who urged Volkswagen workers to reject the UAW. One leader of the Republican-controlled Tennessee state Senate threatened this week to block any incentives for future Volkswagen investment in Chattanooga if a majority of workers voted for the union.

“Needless to say, I am thrilled for the employees at Volkswagen and for our community and its future,” Corker said in a statement.

“Volkswagen has been really good about it,” said Craig Snyder, 42, of Chattanooga. “They just want people to vote the way they feel.”

Volkswagen has said it favors the creation of a German-style “works council,” which gives workers a voice on a variety of product and other decisions. Under U.S. law, a union must represent employees for a company to form a works council.

But Snyder voted against the UAW because, he said, Volkswagen is the best employer he’s ever worked for.

“How is somebody here really supposed to know what a works council is going to be like?” Snyder said. “You can have somebody tell you one thing and somebody tell you another thing. Nobody really knows.”

“I just didn’t feel like we needed an outside group coming in to represent us,” Taylor said.

Eddie Reel said he voted for UAW representation because having a seat on Volkswagen’s global works council would give workers a stronger voice on where future models are produced.

For example, Volkswagen wants to launch a new midsize SUV for sale in the U.S. by 2016. The most likely assembly plants for it are Chattanooga and Puebla, Mexico.

Lauren Feinauer, 37, has been one of the UAW’s strongest advocates in the plant.

“VW has shown that they can have a great relationship with unions. They do it all over the world,” Feinauer said.

Edward Hunter, 43, of Soddy-Daisy, Tenn., said Tennessee politicians argued that the UAW caused the downfall of Detroit, and some of his coworkers bought it.

One billboard, paid for by Grover Norquist, a Washington, D.C.-based anti-tax lobbyist, reads “Detroit: Brought to you by the UAW” next to an image of the long-abandoned Packard Plant ruins. Another billboard shows a graffiti artist’s red “X” over the word “Auto” in the union’s title replaced with a crudely lettered “Obama.”